Model
The Design School
A process of conception Approach
Clear and unique strategies are formulated. The internal situation of the organisation is used to match the external environment.
Basis
Architecture
as a metaphor. Contributions
Order.
Reduced ambiguity.
Useful in relatively stable environment
Support strong and visionary leadership. The Planning School
A formal process
A rigorous set of steps are taken, from the analysis situation to the execution of the strategy
Gives clear direction.
Enables resource allocation.
Control
The Positioning
School
An analytical process
It places the business within the context of its industry and looks at how the organisation can improve its strategic positioning within that industry Urban planning, system theory, cybernetics
Industrial
organisation and military strategy The Entrepreneurial
School
A visionary process
The visionary process takes place within the mind of the charismatic founder or leader of an organisation.
Rely heavily on intuition, judgement, wisdom, experience and insight
Economics
A sound vision and a visionary CEO can help organisation to sail cohesively through muddy waters especially in early or very difficult years for the organisation. Deliberate in broad line but flexible and emergent in the details.
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Strategic Management is a science.
Provides content in a systematic way to the existing way of looking at strategy
Focus on hard facts.
Particularly useful in early stage of strategy development, when date is analysed. Limitations
Simplification may distort reality.
Strategy has many variables and is inherently complex. Bypassing learning, inflexible in fast-changing environment. High risk of resistance
Can become too static
Risk of groupthink
Predicting is difficult
Top Management must create strategy from an